England councils rake in £2.3bn in parking costs
Parking costs in England have been laid bare with figures revealing councils made more than £1bn profit from off- and on-street parking in the last 12 months.
Analysis by The AA of data from the Ministry of Housing, Communities & Local Government found that motorists in England paid £2.34bn in parking fees in 2024/25, which is up from £2.075bn paid the previous year and £1.76bn paid in the year before Covid.
Meanwhile, council profits soared from £0.9bn in 2019/20 and £1.76bn in 2023/24 to £2.075 in the last financial year.
Councils in London scooped up nearly half of all parking income (£1.065bn), with profits recorded at £0.64.
Unrestrained costs
AA head of roads policy Jack Cousens said: “Making £1.2bn in profit from an income haul of £2.3bn out of people’s pockets and potential consumer spending is where we are now with so many English city and town councils and their unrestrained costs and fines.
“Originally, council parking charges were supposed to cover the cost of controlled and ordered provision. The benefits were to encourage shoppers and other visitors into town and city centres and stimulate commercial activity. On-street charges might encourage turnover of spaces and permits were supposed to protect residents’ parking from hogging by outsiders.
“Charges were supposed to cover the cost of providing and enforcing this parking, with some profit from fines and reward for successful parking and commercial policies. Anything above that is tax.”
A local tax
He added: “For too many councils, particularly in cities, the cost of parking seems to have gone from a reasonable charge to a full-on local tax. Why? Because there is next to nothing holding them back.
“They create new ways and reasons to plunder more money from people with cars, often on low incomes travelling in for work. Residents feel hostage to permit costs so high that households often rip up their front gardens and turn them into parking.”
